Econ Unit 4 FA Dummy 1, 2025-26

A movie theater charges seniors less than adults for the same movie experience. This pricing strategy is known as:

• Price skimming

• Price Discrimination

• Cost-based pricing

• Dynamic pricing

Charging consumers different prices for the same item, based on factors unrelated to cost, is known as:

• Loss leader pricing

• Price Discrimination

• Cost allocation

• Seasonal pricing

A pricing strategy that involves selling identical goods at different prices to different buyers, not based on production costs, is called:

• Marginal pricing

• Price Discrimination

• Unit pricing

• Tiered production

A study found that online shoppers who used Apple devices were more likely to be shown higher hotel prices than users of other devices. This is most likely an example of:

• Price elasticity

• Predatory pricing

• Price Discrimination

• Competitive pricing

A museum offers discounted tickets for students, full-price tickets for adults, and premium pricing for tourists. Each group receives the same service. This is a case of:

• Price Discrimination

• Market segmentation

• Price leadership

• Product differentiation

A train company observes that business travelers are less price-sensitive than leisure travelers, and sets ticket prices accordingly. This behavior represents:

• Cost-plus pricing

• Price Discrimination

• Product bundling

• Monopolistic pricing

A retailer runs a promotion where regular customers receive 10% off, while first-time buyers pay full price. What pricing strategy is being used?

• Penetration pricing

• Price Discrimination

• Break-even pricing

• Cost-based pricing

A cell phone provider offers the same data plan at different prices to urban and rural customers, despite identical delivery costs. What concept does this best illustrate?

• Geographic pricing

• Price Discrimination

• Skimming

• Demand-based pricing

In which of the following scenarios would price discrimination be least effective?

• A concert venue charging more for front-row seats

• An airline offering last-minute business class deals to price-sensitive travelers

• A gas station charging different prices to drivers depending on their type of car

• A grocery store charging all customers the same price for milk

What term refers to the study of decision-making where the choices of one participant depend on the decisions made by others?

• Game Theory

• Behavioral Economics

• Supply and Demand

• Marginal Analysis